The Simple Reason Hedge Fund Billionaires Are Mad at Ben Bernanke

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Matt Yglesias informs me today that there is something called the Sohn Investment Conference, which, according to Reuters, “gets big name hedge fund managers to share their ‘best ideas’ with other wealthy investors.” The hedge fundies, it turns out, are really unhappy with Ben Bernanke’s monetary policy, and Matt provides a fairly philosophical explanation for why this is. I suppose he might be right, but I’m going to take a wild guess that the real reason is much simpler, summarized here by Reuters:

The Fed’s easy money policy has helped boost riskier assets such as equities, with the S&P 500 up 14 percent this year. Both the S&P and Dow Jones Industrials have set a string of all-time highs.

In contrast, the average hedge fund is up only 4.4 percent.

So there you have it. In Ben Bernanke’s America, hedge funds aren’t doing so well. And guess what? Billionaire hedge fund managers aren’t very happy about that. It’s not complicated at all.

By the way, I love the scare quotes the Reuters reporters put around “best ideas.” I’m guessing they’re a little skeptical that these billionaires are truly sharing anything remotely approaching their best ideas. I would be too.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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